PC Jeweller Share Price Hits Upper Circuit Again As Board Approves Stock Split

PC Jeweller Ltd.'s share price extended its record run to hit 5% upper circuit in fourth consecutive session, after the company's board approved a share split in the ratio of 1:10 to enhance liquidity. The board also gave its nod for allotment of warrants to promoters, amounting to Rs 646 crore.

The stock rose for the eighth consecutive session, adding more than 34% in the rally. It has risen 300.6% year-to-date and 535.2% in the last 12 months.

The split will result in the rise of the total number of shares from over 46.5 crore to 465.4 crore. The record date for the share split will be intimated in due course. The plan is subject to shareholders' approval and will be executed within 45 days after the nod.

The jeweller also approved preferential allotment of 11.5 crore fully convertible warrants on a private placement basis to two promoter group entities. The issue price is Rs 56.20 per warrant, after receipt of 25% subscription amount.

The scrip rose as much as 5% to Rs 187.07 apiece, the highest level. It was locked in its upper circuit limit as of 10:16 a.m. This compares to a 0.05% advance in the NSE Nifty 50.

The relative strength index was at 85.33, indicating that the stock may be overbought.